How Much Did California Taxes Affect NBA Free Agency?
The NBA finals are now in the rear view mirror, as is the league’s draft. In fact, the free agency period has largely ended as well, as far as the big-time impact players are concerned. It was an unusual year for free agency, as some of the most recognizable and marketable teams were mostly shut out in the free agent frenzy, including the New York Knicks and Los Angeles Lakers.
The Warriors and Clippers were able to keep their big name players that could have flown the coup for so-called greener pastures, but one of the most successful franchises in the history of the game could not get anyone to bite. Could it be that the Lakers have completely lost their mojo? That’s a debate for the sports experts, but what is up for open debate is whether or not California’s taxes played a role in where players chose, or didn’t choose to sign.
There are several possible reasons that this year’s crop of free agents could have chosen other teams besides the Lakers. However, there is also a definite possibility that the state’s huge income tax rate had something to do with it. California has the nation’s highest state income tax at 13.3 percent. Could that have been a deciding factor for some of these athletes? We can’t know for sure, but when you look at the case of free agent forward LaMarcus Aldridge, you can’t help but wonder.
Aldridge left the Portland Trailblazers for the San Antonio Spurs. Aldridge twice met with the Lakers before ultimately selecting San Antonio. The difference in his tax bill is huge when you consider that Texas has no state income tax. At four years and $80 Aldridge would’ve paid roughly $10 million in state income taxes had he signed with the Lakers. That’s a huge difference. While Aldridge may have chosen the Spurs for many other reasons, it’s very likely that the tax equation had something to do with his decision.
Startup Fundraising – Do You Know Who You Are Talking To?
Startup Fundraising – Do You Know Who You Are Talking To? Venture capital, private equity, mezzanine debt, venture debt, angel money, investment bank? What’s the difference and who are the players? Many people start looking for funding and become involved with investment bankers or business brokers without really understanding what they are looking for or…
Republican Lawmaker Pushing Real Tax Reform
Republican Lawmaker Pushing Real Tax Reform By Kent Livingston Will our country ever see true tax reform? While politicians continue to battle over who should pay what and who is getting away with highway robbery, none of them seem to be able to come up with a better plan to actually fix our country’s broken…
Six Facts About the American Opportunity Tax Credit
Six Facts About the American Opportunity Tax Credit Many parents and college students will be able to offset the cost of college over the next two years under the new American Opportunity Tax Credit. This tax credit is part of the American Recovery and Reinvestment Act of 2009. Here are six important facts the IRS…
Small Businesses, Bite a Chunk Out of Your Taxes!
Small Businesses, Bite a Chunk Out of Your Taxes! A tax savvy entrepreneur like yourself probably knows that maximizing your deductible business expenses lowers your taxable profit. After all it is how much money you have left in your pocket that sometimes matter. Here are some deductions which may help you take a bite out…